Fate Therapeutics, Inc. (NASDAQ:FATE) Receives FDA Clearance

Fate Therapeutics, Inc. (NASDAQ:FATE)

Shares of Fate Therapeutics, Inc. (NASDA:FATE) hit new yearly highs today. Today the company announced that he U.S. Food and Drug Administration (FDA) has cleared an investigational new drug application for FATE-NK100. NK-100 is Fate Therapeutic’s drug candidate for an adaptive memory natural killer (NK) cell. Unlike T cells that require specific tumor antigen recognition to elicit an effective immune response, natural killer cells selectively identify and destroy cancer cells through recognition of a range of stress signals commonly expressed across tumor cell types, while leaving normal healthy cells unharmed.

“FATE-NK100 is a next-generation immunotherapy that is uniquely tailored to fully realize the anti-cancer activity of natural killer cells, and we are excited to pioneer the clinical investigation of this novel NK cell therapy.” said Scott Wolchko, President and Chief Executive Officer of Fate Therapeutics.

FATE shares closed at $5.13 on Friday. They gapped up to open at $5.66 this morning and reached a high of $5.68. Since then, FATE shares have retreated and are trading around $5.14 with less than 30 minutes left in trading. Volumes have been heavy on the news from the FDA. Average daily volume for shares of Fate Therapeutics, Inc. (NASDA:FATE) is listed at just over 251,000. Impressively, over 3.6 million shares have traded hands on the news.

In 2011 Fate Therapeutics Inc. (NASDAQ:FATE) reported sales of $1.2 million followed by annual sales of $2.7 million, $1.0 million, zero sales for 2014 and $2.4 million in sales for 2015. EPS for FATE shareholders has always been negative. In 2011 the EPS loss was $0.70 and a downward trend ended in 2014 when the company reported an EPS loss of $1.27. The loss was narrowed to -$1.18 in 2015. Six firms follow Fate Therapeutics Inc. (NASDAQ:FATE). One rates the shares a “Buy” and the others rate FATE as a “Strong Buy”.

3/13/2017
Ticker Symbol FATE
Last Price a/o 2:09 PM EST  $                      5.10
Average Volume                    251,000
Market Cap (mlns)  $                  187.92
Sales (mlns) $4.50
Shares Outstanding (mlns) 39.15
Share Float (mlns) 39.15
Shortable Yes
Optionable No
Inside Ownership 0.20%
Short Float 0.77%
Short Interest Ratio 1.2
Quarterly Return 60.54%
YTD Return 91.24%
Year Return 160.87%

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.